July 9 - Super Micro Computer (SMCI, Financial) said it will ramp up manufacturing investment in Europe to meet surging AI demand.
CEO Charles Liang told CNBC that growth in Europe is “very strong,” and the company plans to expand its existing site in 's‑Hertogenbosch, the Netherlands, with additional production capacity.
SMCI shares climbed about 4% on the news, reflecting investor optimism around the move.
The company reported fiscal first‑quarter revenue growth but fell short of Wall Street forecasts, as some customers delayed orders ahead of Nvidia (NVDA, Financial)'s next‑generation Blackwell GPUs. Liang attributed the shortfall to buyer caution rather than weakening demand.
Beyond Europe, Super Micro is also on track to bring new facilities in Malaysia and Taiwan online later this year, aiming to diversify its global footprint.
Liang said the expanded network will help SMCI supply large‑scale AI training servers more efficiently. The Netherlands plant currently assembles servers equipped with NVDA chips for data centers across the continent.
Is SMCI a Buy Now?
Based on the one year price targets offered by 15 analysts, the average target price for Super Micro Computer Inc is $40.46 with a high estimate of $70.00 and a low estimate of $15.00. The average target implies a downside of -17.61% from the current price of $49.11.
Based on GuruFocus estimates, the estimated GF Value for Super Micro Computer Inc in one year is $69.53, suggesting a upside of +41.58% from the current price of $49.11.
